Prairie Provident Resources (PPR) AI Stock Analysis

• Market Cap: C$42.04M
• Dividend Yield: N/A
• Average Volume (3M): 101.40K
• Price to Earnings (P/E): ―
• Beta (1Y): 1.78
• Revenue Growth: -44.55%
• EPS Growth: -244.33%
• Country: CA
• Employees: 20
• Sector: Energy
• Sector Strength: 44
• Industry: Oil & Gas Exploration & Production
• EPS (TTM): -0.01
• Shares Outstanding: 1,401,335,000
• 10 Day Avg. Volume: 71,150
• 30 Day Avg. Volume: 101,401
• PEG Ratio: N/A
• Price to Book (P/B): N/A
• Price to Sales (P/S): 0.00
• Price to Cash Flow (P/CF): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Prairie Provident Resources' overall score is primarily driven by its poor financial performance, characterized by declining revenues, negative profitability, and high leverage. Technical analysis also indicates bearish trends with weak momentum. Valuation metrics further highlight the company's high-risk profile, with a negative P/E ratio and no dividend yield. While corporate events show strategic efforts to stabilize the financial position, the company's core challenges persist, warranting caution for potential investors.

Prairie Provident Resources Business Overview & Revenue Model

Company Description

Prairie Provident Resources (PPR) is an oil and gas exploration and production company focused on the development of conventional and unconventional resources in North America. The company primarily operates in the Western Canadian Sedimentary Basin, where it engages in the acquisition, development, and production of crude oil and natural gas. PPR aims to create value through the efficient and responsible extraction of energy resources, leveraging its technical expertise and strategic asset base.

How the Company Makes Money

Prairie Provident Resources generates revenue through the sale of crude oil and natural gas extracted from its production operations. The company's key revenue streams include the direct sale of produced hydrocarbons to refineries and other market participants. PPR's earnings are influenced by factors such as commodity prices, production volumes, and operational efficiency. Additionally, the company may engage in strategic partnerships or joint ventures to enhance its exploration and development capabilities, thereby potentially increasing its revenue-generating capacity. Fluctuations in global oil and gas markets, regulatory changes, and operational performance are significant factors that contribute to PPR's financial outcomes.

Prairie Provident Resources Financial Statement Overview

Summary

Prairie Provident Resources faces significant financial challenges, with declining revenues, negative profitability, and high leverage. The company's weak financial health is further exacerbated by negative cash flows, indicating difficulties in sustaining operations without external financing. Overall, the financial statements suggest a need for strategic changes to improve financial stability and operational efficiency.

Income Statement

The company has faced declining revenues with a significant drop from $120.6M in 2022 to $43.2M in 2024. Gross profit margins are extremely low, and consistently negative EBIT and net income indicate ongoing operational losses. The negative revenue growth and profitability issues highlight underlying challenges in generating and maintaining revenue.

Balance Sheet

The balance sheet reveals high leverage with a negative stockholders' equity, indicating financial instability. The debt-to-equity ratio is unfavorable due to negative equity, and total liabilities exceed total assets, contributing to a weak financial position. The declining stockholders' equity over the years suggests a potential risk for solvency.

Cash Flow

Cash flow statements indicate negative free cash flow in recent years, pointing to challenges in generating cash from operations. There was a slight improvement in operating cash flow in 2024 compared to 2023, but capital expenditures continue to outpace operating cash flow, leading to negative free cash flow.

Breakdown
Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement		Total Revenue
43.25M	67.93M	120.60M	84.42M	51.72M
	Gross Profit
477.00K	4.03M	30.93M	10.89M	-20.64M
	EBIT
-8.32M	-3.13M	23.62M	3.62M	-35.88M
	EBITDA
7.66M	15.70M	34.48M	44.61M	-43.23M
	Net Income Common Stockholders
-16.96M	-20.12M	-2.40M	10.42M	-90.77M
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
4.72M	1.83M	6.57M	1.85M	4.54M
	Total Assets
117.87M	167.33M	223.13M	232.96M	220.32M
	Total Debt
58.15M	77.77M	127.00M	112.21M	108.22M
	Net Debt
53.43M	75.93M	120.43M	110.36M	103.68M
	Total Liabilities
166.91M	210.22M	292.24M	299.52M	297.23M
	Stockholders Equity
-49.04M	-42.89M	-69.11M	-66.56M	-76.91M
Cash Flow		Free Cash Flow
-10.74M	-11.37M	5.48M	-4.63M	6.42M
	Operating Cash Flow
18.00K	-10.65M	24.48M	9.68M	10.18M
	Investing Cash Flow
13.54M	-562.00K	-20.48M	-11.49M	-4.98M
	Financing Cash Flow
-10.67M	6.58M	520.00K	-885.00K	-4.11M

Prairie Provident Resources Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 0.03
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Negative
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TSE:PPR, the sentiment is Negative. The current price of 0.03 is below the 20-day moving average (MA) of 0.03, below the 50-day MA of 0.04, and below the 200-day MA of 0.04, indicating a bearish trend. The MACD of >-0.01 indicates Negative momentum. The RSI at 42.05 is Neutral, neither overbought nor oversold. The STOCH value of <0.01 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for TSE:PPR.

Prairie Provident Resources Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
Sector *	56 Neutral	$6.93B	3.42	-4.86%	5.94%	-0.08%	-48.18%
ROK	55 Neutral	C$31.87M	41.67	-0.63%	―	-2.25%	94.72%
NSE	44 Neutral	C$44.10M	―	-177.33%	―	―	―
EOG	41 Neutral	£50.44M	―	-58.84%	―	―	-549.19%
TAO	39 Underperform	C$20.34M	―	-13.21%	―	―	―
AFE	35 Underperform	C$56.31M	―	-124.77%	―	―	15.89%
PPR	30 Underperform	C$42.04M	―	57.68%	―	-44.55%	-244.33%

Prairie Provident Resources Corporate Events

Prairie Provident Resources Reports 2024 Financial Results and Strategic Asset Sales

Prairie Provident Resources announced its financial and operational results for the fourth quarter and full year of 2024, highlighting significant asset sales and capital-raising activities. The company sold its Evi and non-core Provost assets, using proceeds to reduce debt, and conducted a rights offering to fund drilling activities in the Michichi core area. Despite a decrease in production volumes compared to the previous year, the company reported an increase in operating netback for the fourth quarter of 2024. The financial results reflect strategic moves to strengthen the company’s balance sheet and focus on core assets, which may impact its market positioning and stakeholder interests.

Prairie Provident Completes Equity Financing and Advances Basal Quartz Operations

Prairie Provident Resources Inc. has successfully closed the final tranche of its equity financing, raising a total of $8.67 million. The proceeds will be used to drill two additional Basal Quartz horizontal wells and for general corporate purposes. This financing effort, led by Research Capital Corporation and Haywood Securities Inc., involved significant insider participation and aims to bolster the company’s operational capabilities and market positioning. The company also announced progress in its Basal Quartz operations, with the completion of drilling activities and the commencement of completion operations expected soon.

Prairie Provident Commences Drilling of New Basal Quartz Well

Prairie Provident Resources Inc. announced the commencement of drilling operations for its Basal Quartz horizontal well in Alberta, expected to be completed in eight days. This development marks the company’s third well in the Basal Quartz trend, following successful operations in late 2024, and is anticipated to enhance its production capabilities and strengthen its position in the regional oil and gas market.

Prairie Provident Secures $4.8M for Drilling Program Expansion

Prairie Provident Resources Inc. has closed the first tranche of its private placement, securing $4.8 million to advance its Basal Quartz horizontal drilling program. This financing is part of a larger $9.1 million equity offering and will support the drilling of additional wells, enhancing the company’s growth potential in the Western Canadian Sedimentary Basin.

Prairie Provident Secures $9.1 Million Financing to Boost Basal Quartz Drilling

Prairie Provident Resources has announced a brokered equity financing agreement worth up to $9.1 million, with significant lead orders of $7.35 million, to fund additional drilling projects and corporate purposes. This financing will support the company’s strategy to enhance growth through its Basal Quartz horizontal drilling program in the Michichi area, a promising oil play with substantial economic potential. The company plans to drill three Basal Quartz horizontal wells in the first quarter of 2025, leveraging its unique market position and operational efficiency.